Finding Text
Criteria: Per 2 CFR Section 170, the prime recipients of federal grants that make subawards of $30,000 or more are required to report specific information about those subawards in the Federal Subaward Reporting System (FSRS), that is, the Federal Funding Accountability and Transparency Act (FFATA) report, by the end of the month following the month in which the subaward was obligated.
Condition and context: During testing of the Alliance’s compliance with FFATA reporting requirements, we identified the Alliance did not submit FFATA reports timely.
Cause: The Alliance’s controls and processes were not effectively designed to ensure all reporting requirements are executed timely.
Effect: The Alliance was not in compliance with the reporting requirements of the Uniform Guidance. Failure to report subawards in a timely manner may affect the government’s ability to provide adequate oversight and may be considered noncompliance with award terms and conditions.
Questioned Costs: None.
Identification as a Repeat Finding: N/A.
Recommendation: We recommend that the Alliance establish formal policies and procedures to ensure compliance with FFATA reporting requirements, including identifying applicable subawards and submitting reports through FSRS in a timely manner.
Views of Responsible Official:Management agrees with the finding. See Corrective Action Plan.